Everyone was prepared for Gov. Deval Patrick to ask for tax increases to pay for the major transportation and education initiatives he proposed earlier this week.

No one anticipated he would call for a tax cut.

In his State of the State address Wednesday, the governor did both.

To support the $2 billion a year in transportation and education investments he hopes will strengthen the economic future, Patrick called for an increase in the state's income tax from 5.25 percent to 6.25 percent, but a cut in the sales tax from 6.25 percent to 4.5 percent.

"There is no good time to raise taxes," Patrick said. "I know how tough times have been on the people and families of the commonwealth. I would not ask if I did not believe in my heart that investing meaningfully today in education and transportation will significantly improve our economic future. But because we all have a stake in that future, we should all contribute to paying for it."

With full funding for South Coast Rail, Patrick's plan addresses the historic inequities of funding for this part of the state. "In transportation, we can no longer tell ... the SouthCoast or Western Mass. to wait to share in the state's prosperity."

The governor's upcoming budget plan will outline the sales tax cut, with all proceeds dedicated to a public works fund that will support the transportation plan and school building.

The income tax increase will be used to fund the education initiatives. To make that increase fair to all, Patrick said he will seek to double the personal exemptions for every taxpayer and eliminate a number of itemized deductions, creating a tax code that is simpler and fairer.

Patrick did not address how the changes would affect the overall tax burden on individuals, but his office produced figures that reported that the 19 percent income tax increase would yield an additional $2.8 billion in annual revenue, while the sales tax cut would cost an estimated $1.1 billion. The governor will also propose eliminating some corporate tax deductions worth $200 million, netting the state $1.9 billion in annual new revenue.

"That is what I propose," Patrick said in his annual address. "There will be debate. I encourage it. We ... have choices to make. I choose growth."

Local legislators said they appreciated the governor's emphasis on SouthCoast in general and the rail project in particular.

"He certainly put an ambitious program out there," said state Rep. William Straus, D-Mattapoisett, who serves as chairman of the Legislature's Joint Committee on Transportation. "I think that it's as significant a change in concept as I've seen in any of these gubernatorial speeches that I've seen in the 20 years.

"If people thought he was going to sit back and enjoy lame-duck status, they certainly got a big surprise."

State Sen. Michael Rodrigues, D-Westport, called the governor's proposals "shrewd and well-thought-out." Using a football metaphor, Rodrigues said: "He threw long. Now it's up to the Legislature to catch the ball and see how far down the field we can carry it."

Entering the final two years of his second term, the governor hopes passage of these initiatives will cement his legacy: "I think most governors wonder 'What will last?' I submit to you that if we act in this bold way, if we recommit to support our schools and our highways and byways, and do it for every corner of our commonwealth, not only will we have done something meaningful for today but we will have affirmed our commitment to opportunity itself."